[Code of Federal Regulations]
[Title 7, Volume 7, Parts 700 to 899]
[Revised as of January 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR735.7]

[Page 218-219]
 
                          TITLE 7--AGRICULTURE
 
                            CHAPTER VII--FARM
                SERVICE AGENCY, DEPARTMENT OF AGRICULTURE
 
PART 735--COTTON WAREHOUSES--Table of Contents
 
Sec. 735.7  Suspension or revocation of warehouse licenses.

    Pending investigation, the Secretary, or his designated 
representative, whenever he deems necessary, may suspend a 
warehouseman's license temporarily without hearing. Upon written request 
and a satisfactory statement of reasons therefor, submitted by a 
warehouseman, the Secretary, or his designated representative, may, 
without hearing, suspend or cancel the license issued to such 
warehouseman. The Secretary, or his designated representative, may, 
after opportunity for hearing has been afforded in the manner prescribed 
in this section, suspend or revoke a license issued to a warehouseman 
when such warehouseman:
    (a) Does not have a net worth of at least $25,000;
    (b) Has parted, in whole or in part, with his control over the 
licensed warehouse;
    (c) Is in process of dissolution or has been dissolved;
    (d) Has ceased to conduct such licensed warehouse;
    (e) Has in any other manner become nonexistent or incompetent or 
incapacitated to conduct the business of the warehouse;
    (f) Has made unreasonable or exorbitant charges for services 
rendered;
    (g) Is operating in the same city or town in which his licensed 
warehouse facilities are located, any facility for storage of cotton 
which is not covered by a license or an exemption as provided in 
Sec. 735.3a; or
    (h) Has in any other manner violated or failed to comply with any 
provision

[[Page 219]]

of the act or the regulations in this part. Whenever any of the 
conditions mentioned in paragraphs (a) through (h) of this section shall 
come into existence, it shall be the duty of the warehouseman to notify 
the Administrator immediately of the existing condition. Before a 
license is revoked or suspended (other than temporarily pending 
investigation) for any violation of, or failure to comply with, any 
provision of the act or of the regulations in this part, or upon the 
ground that unreasonable or exorbitant charges have been made for 
services rendered, the warehouseman involved shall be furnished by the 
Secretary, or his designated representative, a written statement 
specifying the charges and shall be allowed a reasonable time within 
which he may answer the same in writing and apply for a hearing, an 
opportunity for which shall be afforded in accordance with Sec. 735.89.

[29 FR 15720, Nov. 24, 1964. Redesignated at 50 FR 1814, Jan. 14, 1985; 
Amdt. 2, 53 FR 27149, July 19, 1988]